Volvo saw a decline in vehicle sales in 2012, according to figures released by the company this week. The Swedish carmaker sold just under 422,000 cars during the year, a 6.1% year-over-year decline from 2011's figure. The firm attributed this mainly to challenging economic conditions in Europe and the phase-out of certain models.
The company did see a slight uptick in sales in its largest market, the U.S.. It sold 68,079 vehicles here during the year, or approximately 1% more than in 2011. But sales were down 11% in its native Sweden (to 51,832 cars), and they fell by a similar percentage in the crucial foreign market of China, where sales reached almost 42,000 units. A new manufacturing plant in Chengdu is expected to be up and running in the second half of 2013.
For 2013, Volvo, once a subsidiary of Ford (NYSE:F), expects competition to "continue to be as fierce as in 2012". It did not provide information as to the sales it expects for this year.
Eric Volkman has no position in Ford. The Motley Fool recommends Ford. The Motley Fool owns shares of Ford. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.